Is Hydrogen going to be Australia's energy future?

Team Veye | 08-Mar-2021 australia energy future

While the world is actively transitioning to a lower carbon economy, the potential of Hydrogen cannot be underestimated. The emerging interest in the hydrogen economy is on top now, particularly with US President, Joe Biden taking proactive interest immediately after getting elected.

The pursuit of a cleaner future is an endeavor with no end. Hydrogen has a key role as energy storage and transport medium that’s lighter and more efficient than batteries.

Renewable hydrogen will play a very important role in the clean economy of the future, offering a solution for reducing emissions in industries such as steel-making and long-range transport. 

Many countries like Japan and South Korea have already set strong hydrogen targets and have the potential to be significant export markets. 

With the large potential for renewable energy, large fossil fuel resources, and good potential CO2 storage sites, Australia is well placed to become a major producer of hydrogen for domestic use and as an export industry.

South Australia is already an international leader in renewable energy and storage, sourcing over half of its electricity from wind and solar.  It is also home to Australia’s largest battery. 

According to InterContinental Energy Managing Director, green hydrogen offered a much bigger opportunity than renewable power, as it could decarbonise several industries that rely on oil and gas, such as shipping, aviation, manufacturing and chemicals.

Now the only thing that remains to be seen is that how rapidly demand for green hydrogen grows. If things start moving at the desired pace, Australia should be, and one would assume could be, the Saudi Arabia of green hydrogen.

Disclaimer

Veye Pty Ltd(ABN 58 623 120 865), holds (AFSL No. 523157 ). All information provided by Veye Pty Ltd through its website, reports, and newsletters is general financial product advice only and should not be considered a personal recommendation to buy or sell any asset or security. Before acting on the advice, you should consider whether it’s appropriate to you, in light of your objectives, financial situation, or needs. You should look at the Product Disclosure Statement or other offer document associated with the security or product before making a decision on acquiring the security or product. You can refer to our Terms & Conditions and Financial Services Guide for more information. Any recommendation contained herein may not be suitable for all investors as it does not take into account your personal financial needs or investment objectives. Although Veye takes the utmost care to ensure accuracy of the content and that the information is gathered and processed from reliable resources, we strongly recommend that you seek professional advice from your financial advisor or stockbroker before making any investment decision based on any of our recommendations. All the information we share represents our views on the date of publishing as stocks are subject to real time changes and therefore may change without notice. Please remember that investments can go up and down and past performance is not necessarily indicative of future returns. We request our readers not to interpret our reports as direct recommendations. To the extent permitted by law, Veye Pty Ltd excludes all liability for any loss or damage arising from the use of this website and any information published (including any indirect or consequential loss, any data loss, or data corruption) (as mentioned on the website www.veye.com.au), and confirms that the employees and/or associates of Veye Pty Ltd do not hold positions in any of the financial products covered on the website on the date of publishing this report. Veye Pty Ltd hereby limits its liability, to the extent permitted by law to the resupply of services.

veye logo

Grab Your Free Report On 5 ASX Dividend Stocks To Buy In 2024

(+61)